Fiat Chrysler production cuts prompt Faurecia to close U.S. plants
Faurecia North America plans to lay off 348 employees and close two metro Detroit plants as a result of Fiat Chrysler Automobiles discontinuing production of its Chrysler 200 and Dodge Dart models.
Four Southeast Michigan plants are affected by the loss of business. Layoffs are set to begin in December.
The interiors and emission controls supplier's Merrill Road plant in Sterling Heights and its Masonic Road plant in Fraser will be closed as a result of the loss of business, said Tony Sapienza, director of communications for the French supplier's North America unit.
At the Merrill Road plant, 117 employees, including 113 UAW employees, will be terminated. At the Masonic plant, 93 employees will lose their jobs.
Faurecia's plants on Sims Road in Sterling Heights and on 14 Mile Road in Fraser will remain open because they also support General Motors and Ford Motor Co. programs, though 138 employees will be permanently cut, Sapienza said.
At the Sims Road plant, 98 employees, including 92 UAW workers, will be terminated. The 14 Mile plant will lay off 40.
FCA discontinued the models after slow sales. FCA's Dart assembly plant in Belvidere, Illinois, is being retooled to build the Jeep Cherokee, and FCA's assembly plant in Sterling Heights, where it assembled the Dart, is to be retooled for production of the body-on-frame 2018 Ram 1500, Automotive News reported.
The move has caused 1,300 workers to be laid off at FCA's Sterling Heights plant and has trickled down the supply chain. Other effects include the closing of Martinrea Hot Stampings Inc. in Detroit, which resulted in the loss of 122 jobs.
Faurecia, based in Nanterre, France, ranks No. 8 on the Automotive News Europe list of the top 100 global suppliers with worldwide sales to automakers of about $23 billion in 2015. About 27 percent of the company's business takes place in North America.